New sales numbers showed that many Canadians are steering clear of Tesla, but the Elon Musk-led company isn't the only electric vehicle brand facing struggles north of the border.
According to Jalopnik, a new report from Automotive News revealed that 9,000 Teslas were registered in Canada in the first six months of the year. Comparatively, data from 2024 showed the EV automaker delivered more than 26,000 new cars in Canada in the same time frame last year. That's a stunning 67% drop.
Overall, EV registration in Canada has dropped 32% in the first half of 2025 amid several changes. Canada halted the Incentive for Zero-Emission Vehicles program in January. Additionally, Quebec's EV rebate program hit pause for two months before resuming.
The decline in EV sales in Canada could have significant long-term environmental impacts. EVs emit less heat-trapping pollution over their lifetimes than their gas counterparts, even if you account for the electricity generated for charging.
As for Tesla specifically, many have attributed the company's decline to CEO Musk's involvement with the Trump administration and involvement in global politics, with many consumers viewing support for the brand as support for Musk's politics and considering EVs from other brands. Wavering prices may have also dissuaded Canadian buyers.
Tesla first raised prices on Model Y and Model 3 in February, according to Jalopnik. Another price hike came following Canada's retaliatory tariff imposed on cars imported from the United States.
Most Jalopnik readers weren't at all surprised by the dwindling sales. "Tesla is toast," one commenter wrote. "Good riddance."
Amid Tesla's troubles, competing brands have gained momentum in other markets around the world. In fact, a recent survey of car owners in the United Kingdom revealed that EV drivers have no plans to return to costly gas-guzzling cars for their next vehicle purchase, preferring to stick with electric instead.
Making other eco-friendly investments can pay off in the long run for EV drivers. Fueling with solar energy at home is cheaper than spending on public charging stations or relying on the grid. Drivers can keep costs low by using EnergySage to compare quotes from local installers and save up to $10,000 on solar installations.
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